Fact Pattern 48-2B
Shopping Mall, Inc. , leases space to Toney Goods Company and Uneek Stuf Store. Later, Uneek begins to sell items that are similar to Toney's goods, and Toney abandons its space before the end of the lease term.
-Refer to Fact Pattern 48-2B. In a growing number of jurisdictions, SMI would be

Question

Fact Pattern 48-2B 
Shopping Mall, Inc. , leases space to Toney Goods Company and Uneek Stuf Store. Later, Uneek begins to sell items that are similar to Toney's goods, and Toney abandons its space before the end of the lease term.
-Refer to Fact Pattern 48-2B. In a growing number of jurisdictions, SMI would be

Quizplus · Accepted Answer

In this situation, SMI would be required to mitigate its damages by making a reasonable effort to find a replacement tenant for the vacated space. This means that SMI cannot simply sit back and allow Toney's unpaid rent to accumulate without trying to find a new tenant to take over the space. While SMI may be entitled to damages from Uneek if it can be shown that Uneek engaged in unfair competition, SMI cannot increase other tenants' rent to cover Toney's unpaid rent as this would be unfair to those tenants and likely a violation of their own lease agreements. SMI would also be entitled to the unpaid rent from Toney, but only after making a reasonable effort to mitigate its damages.